factual

Is there a Multi-Unit Addendum available for the Cinnabon Franchise Agreement?

Cinnabon Franchise · 2025 FDD

Answer from 2025 FDD Document

We may, in our sole discretion, offer you the opportunity to enter into multiple franchise agreements at the same time, which will be accompanied by a Multi-Unit Addendum to the Franchise Agreement (the "Multi-Unit Addendum") (the current form of which is attached as Schedule E to the Franchise Agreement that is attached as Exhibit B to this Disclosure Document). If you do not sign a Multi-Unit Addendum, you will have no rights to develop or operate more than one Bakery, unless you sign additional Franchise Agreements.

Source: Item 22 — Contracts (FDD pages 113–114)

What This Means (2025 FDD)

Yes, according to the 2025 Cinnabon Franchise Disclosure Document, a Multi-Unit Addendum is available. The document states that Cinnabon may offer prospective franchisees the opportunity to enter into multiple franchise agreements simultaneously, which would include a Multi-Unit Addendum to the Franchise Agreement. This addendum is referenced as Schedule E to the Franchise Agreement, which is attached as Exhibit B to the Disclosure Document.

This means that a potential franchisee has the option to negotiate for the rights to open and operate more than one Cinnabon location from the outset, rather than being limited to a single unit. However, if a franchisee does not sign a Multi-Unit Addendum, they will not have the right to develop or operate multiple bakeries unless they sign additional Franchise Agreements in the future.

For prospective franchisees interested in expanding their Cinnabon business beyond a single location, exploring the Multi-Unit Addendum is essential. It outlines the terms and conditions for developing and operating multiple units under a single agreement, which can streamline the expansion process and potentially offer certain benefits compared to negotiating separate franchise agreements for each location. Franchisees should carefully review Schedule E of the Franchise Agreement to understand the specific obligations, development schedules, and other requirements associated with multi-unit development.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.